Request for Qualifications for Architectural Services

SEC18-23-01 | Page 5 of 11 The Pierce County Housing Authority (PCHA) is a public body, corporate and politic, created by Pierce County's Board of Supervisors (now County Council) in 1978 pursuant to State statute (RCW35.82). The mission of the Pierce County Housing Authority (the Authority) is to provide safe, decent, affordable housing and economic opportunity, free from discrimination. The governing body of the Housing Authority is the Board of Commissioners. The Commissioners elect from among themselves a chair and a vice chair. The Authority Board regular meetings occur the last Wednesday of each month, currently at 3:30 PM PST. The Board is responsible for hiring an Executive Director, who also serves as Secretary to the Board. The Executive Director administers the operations of the Authority and implements the policies established by the Board. PCHA currently operates 124 Low-Income Public Housing units; 20 Units of USDA/RD Housing, administers approximately 2,946 Section

8/HCV program vouchers, and operates an Enterprise Portfolio consisting of approximately 670 units. Additional grants are received periodically for the Renovation and Modernization of existing facilities and in support of our Family Self Sufficiency Programs. Currently, the Pierce County Housing Authority employs 39 individuals. Pierce County Housing Authority acquired its current stock of Public Housing units through the 1980’s and 1990’s. It is comprised of single-family homes. They are primarily located in Spanaway and Parkland, with small clusters in Bonney Lake, Elk Plain, Graham, and on the Peninsula. The households currently residing in PCHA’s LIPH units have a rental agreement with PCHA, whereby they pay approximately 30% of their income to rent, whatever their income may be, up to the full amount of Fair Market Rent for the property. For example, a household making $2,000 in income for a month would pay approximately $600 per month, and a household with $0 in income would pay $0 in rent, regardless of the size of the home. However, residents are still required to do regular upkeep on their properties, pay utilities, and maintain their yards, which often presents a financial and physical challenge for many of our LIPH residents. Compounding this, as the rental charges on these units are income-based, PCHA is required to fund both regular and non-routine maintenance through federal grants. Reductions in the funding allocation for the LIPH program at the federal level have resulted in a backlog of unfunded maintenance in LIPH portfolios across the country. The LIPH model – and especially the LIPH Scattered Site Model - has been found ineffective, inefficient, and ultimately counterproductive in providing safe, decent, sanitary, and dignified housing for its residents. Due to the vast geographical distance that separates some of these homes, the financial burden of serving maintenance needs for a large number of aging houses, and the burden on residents to upkeep these properties without proper resources or support, PCHA submitted an application to the Department of Housing and Urban Development Special Application Center to perform a Section 18 Disposition. This application was approved on January 27th, 2023. As part of this Section 18 Disposition, all residents living in LIPH houses will be transferred onto a Tenant Protection Voucher, which preserves their 30% income calculation for rental housing subsidies. BACKGROUND INFORMATION SEC18-23-01 SEC18-23-01 | Page 6 of 11 They will be assisted in finding, touring, and applying for new rental housing by a Relocation Specialist at PCHA, and on top of their regular monthly subsidy, PCHA will also provide funding for application fees, administrative fees, pet deposits, security deposits, and will contract with moving services free of charge to our LIPH participants. No resident will be forced to face a financial burden through the repositioning process. Funding for this program is allowed by HUD through the easing of certain restrictions upon application approval. All residents are expected to be relocated by the end of 2025. Homes will only be offered for sale when the resident has been fully relocated. The sale of the homes will occur in several steps. The first step in the repositioning process will be to offer “first right of refusal” for the home to the LIPH participant household currently residing in it. Some participants have graduated through various career training and financial education programs, and may have the capacity to qualify for a traditional mortgage with outside assistance programs. However, PCHA will make every effort to work with all families currently in the homes to see what they qualify for, and if buying their home is a possibility. If the current resident of the home is unwilling or unable to buy their home, PCHA will reach out to other LIPH participants and participants in PCHA’s Family Self Sufficiency (FSS) program to discuss their interest and capability of purchasing the property (FSS is a program designed to increase a family’s financial stability, and provides job training, placement, and financial literacy workshops. Participation in the program creates an escrow account, which can be used to buy a home when the participant graduates. For more information, please visit https://www.pchawa.org/housing/homeownership-fss). In order to make sure that the housing remains in service of low-income residents of Pierce County, the next step of the process is to offer the home for sale to the members of what PCHA refers to as a “Negotiated Sale Bidders List”. This RFP is to compile the Negotiated Sale Bidders List, as described in the following section. For more information on the PCHA Disposition process, please visit pchawa.org/community/ section-18. https://www.pchawa.org/housing/homeownership-fss SEC18-23-01 | Page 7 of 11 This RFP is to create a limited Bidders List of organizations with proven experience and commitment to the creation and preservation of affordable housing in Pierce County. There are up to 120 single family homes and 2 duplexes on lots of varying size, located regionally across Pierce County, that may be made available for purchase from 2023-2026. These homes are all 3-4 bedroom units. The properties must be purchased in as-is condition at vacate, for Fair Market Value as determined by a 2022 property appraisal provided to HUD in PCHA’s Section 18 Disposition application. Pierce County Housing Authority will prioritize selling these homes to current qualified residents and/or HUD Housing Choice Voucher Family Self Sufficiency (HCV FSS) Program participants whenever possible1, as described in Background Information above. However, PCHA understands that it is not currently a financial reality for many LIPH occupants or HCV FSS participants to purchase these homes, especially when considering their deferred maintenance needs. So that these homes may remain in the county’s affordable housing stock, PCHA intents to sell those homes unable to be purchased to FSS or LIPH participants to organizations on the Bidders List who have the demonstrated capacity to both purchase these units and keep them affordable for residents of Pierce County. If there are no bids from the Bidders List, only then will the homes be offered on the open market for Public Bid. The Bidders List will be compiled from respondents to this RFP who meet the criteria detailed in the Proposal Requirements below. The Bidders List will be utilized to contact organizations when property become available. When a property or group of properties become available, every member of the Bidders List will be contacted and asked if they are interested in attending a scheduled walk-through, and/or in placing a bid. No organization outside the Bidders List will be informed of the property’s availability or be able to purchase a property at this stage. There is no obligation to view or bid on any or every parcel from being a member of the Bidders List. Bids must meet HUD’s definition of Fair Market Value. Bids below FMV may not be accepted, but all reasonable bids will be considered. Organizations on the Bidders List are allowed to place a bid above the Fair Market Value to secure desired properties if they so choose. These bids will be evaluated based on their merits, with offer review dates limiting the time PCHA will keep units available for sale to organization on the Bidders List. If more than one organization offers to purchase a property or group of properties, PCHA will select the offer that best meets PCHA’s mission and business needs. In the event that there are two or more organizations that place bids of equal monetary value and substantially similar sale conditions, those organizations will be asked for a best and final offer. This procedure will follow PCHA’s written Procurement Policy. If an organization’s bid is selected for a property or group of properties, they must close be able to close escrow within 90 days from Mutual Agreement of sale terms. No extensions are guaranteed and 1 For more information on PCHA’s programs to assist our voucher-holders in achieving financial stability and become homeowners, please visit https://www.pchawa.org/housing/homeownership-fss. For detailed queries, contact our Administrative Coordinator, Riley Guerrero, at rguerrero@pchawa.org SCOPE OF THE NEGOTIATED SALE BIDDERS LIST SEC18-23-01 https://www.pchawa.org/housing/homeownership-fss mailto:rguerrero@pchawa.org SEC18-23-01 | Page 8 of 11 may be granted only at the sole discretion of PCHA. PCHA reserves the authority to re-offer the properties to other bidders on the Bidders List in the event that the 90-day period ends without a closed sale. In order to transfer title clear of encumbrances or affordability covenants beyond closing, PCHA must first vacate units through the relocation of existing tenants. PCHA must then obtain and record a HUD-approved Release of Declaration of Trust prior to closing any transaction. PCHA will require the selected organization to have the capacity to provide full funding at closing of escrow, with selected organization thereby receiving ‘fee simple’ title at closing. SEC18-23-01 | Page 9 of 11 THRESHOLD REQUIREMENTS  W9: The organization must provide its most recent Form W9  Proof of Funds: The organization must have the appropriate cash-on-hand or suitable material resources to demonstrate that they are able to purchase at least 3 properties (totaling $1,125,000, as a typical price is $375,000 per properties) to enter the Bidders List. o The homes are anticipated but not required to be offered to organizations on the Bidders List in groups of 3-5, and are to be sold in as-is condition.  Affordability Preservation Agreement: The organization must sign the attached Affordability Preservation Agreement confirming that all properties sold from PCHA to the Organization as the result of this Bidders List will remain affordable for families earning less than 90% of the area median income adjusted by family size.  Required Submission Documents: o Organization Profile o Non-Collusion Affidavit (must be notarized) o Disclosure of Conflict of Interest o HUD 5369-C o Declaration of Accuracy FUNDING  Proof of Funds: The organization must provide “proof of funds” documentation pertaining to all funds intended for use in the acquisition of Negotiated Sale properties.  Capacity to Obtain Additional Funding: Proposals must include the plan and method to obtain additional funding for purchase of additional homes via loan, donation, grant, or other source. Agencies with plans to obtain funding, but who do not meet the threshold requirement to purchase at least three homes, may not be considered. This description should be no more than two pages, 12pt Times New Roman font. TIMELY CLOSE  Description of Previous Real Estate Transactions: So that any sale may close not later than 90 days from Mutual Agreement on sale terms, PCHA will require interested organization provide proof of capacity to transact purchase in a timely manner. Please write a short description on the organization’s experience with closing real estate transactions. Include any pertinent dates and financial information to demonstrate capacity to close large real estate transactions on strict timetables. This description should be no more than one page using 12pt Times New Roman font. PROPOSAL REQUIREMENTS SEC18-23-01 SEC18-23-01 | Page 10 of 11 AFFORDABLE HOUSING PROGRAM  Detailed Plan for Affordable Homeownership: The organization must supply a detailed description of its history, qualifications, and its process for creating and maintaining affordable housing/homeownership, described here as homeownership for families making at or below 90% of Area Median Income (AMI), or $91,620 for a family of four in Pierce County (per WSHFC MTSP- Income and Rent Limits table effective 04/18/2022). This description must be two to three pages only, 12pt Times New Roman font.  List of Current Housing: The organization must provide a list of current affordable homeownership housing it has created/operates over the last two years in Pierce County and/or in the state of Washington. Please include the location, the type of unit, the number of units in the project, if applicable, and the current occupancy rate.  Pipeline of Eligible Residents: The organization must demonstrate a viable pipeline of currently available or eligible purchasers or applicants meeting this affordable housing homeownership requirement, and their process of qualification and mentorship. This description should be no more than one page, 12pt Times New Roman font. PERSONNEL AND REFERENCES  References: Proposals should include 2-3 references from agencies for which the individual/firm has completed similar services, or from residents currently residing in its affordable housing that can speak to the organization’s services and acquisition process. It may additionally include other state and local agencies. Appropriate contact information must be included for references (name, title, organization, phone number, email address).  List of Staff: Please include the names, current positions, job descriptions, and time-at-agency of all staff who will be involved in the negotiated sale process. Full resumes are preferred. To submit your proposal, please email Sean McKenna at smckenna@pchawa.org with the subject line “SEC18-23-01 Negotiated Sale Bidders List Proposal – Your Company Name”. Please clearly label all attachments with the Bolded title provided above. Alternatively, please send your proposal by mail to the following address: Pierce County Housing Authority Attn: Sean McKenna 603 Polk St S Tacoma, WA, 98444 mailto:smckenna@pchawa.org SEC18-23-01 | Page 11 of 11 THRESHOLD REQUIREMENTS Organizations that do not meet the following requirements will be eliminated and will not be scored W9 Provided Proof of funds demonstrating capacity for acquisition of homes Required Submission Documents Signed and Notarized where applicable Organization has provided signed and Notarized Affordability Preservation Agreement SCORED RUBRIC Organizations must receive a score of 60 or above to enter the Bidders List Topic Criteria Weight Description Funding Size of Allocated Funding 10 Funding will be graded on the following scale: $1,125,000-$2,999,999.99: 3 Points $3,000,000 - $4,999,999.99: 6.5 Points $5,000,000+ : 10 points Capacity to Obtain Additional Funding 10 Capacity to obtain additional funding will be scored on amount of funding anticipated, strategic reasoning, and history of securing funding of similar types. Length: One to two pages, 12pt Times New Roman Font Timely Close Description of Previous Real Estate Transactions 5 This description will be scored on the number of transactions, the duration of the transactions, the organization’s history with similar real estate sales, and the size of transactions. Length: One page, 12pt Times New Roman Font Affordable Housing Program Detailed Plan for the Creation and Preservation of Affordable Homeownership 40 This description will be scored on the depth, history, qualifications, scope, and program activities of the organization, and its plan and restrictions for the parcels that it seeks to purchase to be kept affordable. Length: Two to three pages, 12pt Times New Roman Font List of Current Affordable Housing/On-Line in the Last Two Years 10 This list will be scored on the total number of affordable units, the type of units, and the geographic distribution of units. Pipeline of Eligible Residents 10 This description will be scored on the total number of eligible residents, the services provided, and its reasonability given the projected number of homes to purchase. Length: one page, 12pt Times New Roman Font References References from Other Organizations/Residents 10 References must include description of similar transactions and the affordable housing program. Two to three references required. List & Description of Relevant Staff 5 The list and description of staff will be scored on the number and relevant experience of staff members, and on the team composition. Full resumes of staff are preferred. TOTAL POINTS: 100 EVALUATION RUBRIC SEC18-23-01 PIERCE COUNTY HOUSING AUTHORITY 603 South Polk Street, Tacoma, WA 98444 | 253-620-5400 REQUIRED SUBMISSION DOCUMENTS FOR A REQUEST FOR PROPOSALS SOLICITATION RESPONSE